MJBizMag Packaging Automation Buyers Guide January 2022 - 14
MJBizDaily Buyers Guide Cannabis Packaging Automation
mjbizdaily.com
Even for larger, multistate manufacturers,
smaller, more scalable systems are
important because of the unique regulatory
constraints in the cannabis industry.
Outside of the cannabis sector, CPG
companies generally try to set up as few
packaging facilities as possible, shipping
their raw product to regional facilities to
be processed and packaged. And, in the
facilities they do set up, they install the
same equipment and use the same packages
for uniformity across their brand.
But in cannabis, manufacturers are limited
to the states they can legally operate in and
those states' specific rules.
" If you're growing in Massachusetts, you
can't send it anywhere due to federal
regulations, so you've got to set up a
processing and packaging facility in
Massachusetts, " Chrzan said.
Moreover, cannabis packaging regulations
can vary from state to state.
" Is that the same kind of package that
you're allowed to do in Illinois? Or, due to
regulatory constraints, is Massachusetts
different? "
Cannabis manufacturers require smaller-scale solutions than
consumer packaged goods industries due to varied state
regulations. Photo by Laura Drotleff
This makes automation more challenging for the cannabis sector and is driving the need for smallerscale
solutions at a more affordable price.
Cannabis needs more scalable solutions not just in the equipment itself, but in how manufacturers
pay for the equipment.
In response to industry requests, equipment manufacturers are now offering more financing and
leasing options to help offset the " sticker shock " of capital equipment outlays, Chrzan said.
Packaging contractors are also becoming more common, as companies that did invest in packaging
machines offer their packaging services to other manufacturers.
It all bodes well for cannabis manufacturers weighing the pros and cons of packaging automation.
AUTOMATION OFFERS LABOR SAVINGS ADVANTAGES
Labor is the first reason most cannabis companies start exploring packaging automation. Hand
packaging is inefficient, inaccurate and unreliable, especially with increasing labor shortages.
Cannabis manufacturers spend time and money hiring and managing employees, only to have
them leave. Manufacturers also must deal with pervasive industry problems such as employee
product theft.
14
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MJBizMag Packaging Automation Buyers Guide January 2022
Table of Contents for the Digital Edition of MJBizMag Packaging Automation Buyers Guide January 2022
MJBizMag Packaging Automation Buyers Guide January 2022 - 1
MJBizMag Packaging Automation Buyers Guide January 2022 - 2
MJBizMag Packaging Automation Buyers Guide January 2022 - 3
MJBizMag Packaging Automation Buyers Guide January 2022 - 4
MJBizMag Packaging Automation Buyers Guide January 2022 - 5
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MJBizMag Packaging Automation Buyers Guide January 2022 - 8
MJBizMag Packaging Automation Buyers Guide January 2022 - 9
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MJBizMag Packaging Automation Buyers Guide January 2022 - 14
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